News

Retail sales jump in August thanks to consumer optimism

September 19, 2018

Increasing wage growth, consumer optimism and a solid labor market led to a 5 percent retail sales boost in August, compared to a year ago, and a 0.1 percent increase compared to July.

The figures, which were provided by the National Retail Federation, do not include sales relating to autos, gas or restaurants. The numbers are based on U.S. Census Bureau data.

"Consumers are still in the driver's seat," NRF Chief Economist Jack Kleinhenz said in a press release. "Retail sales remain strong thanks to a solid labor market, accelerating wage growth and consumer optimism, which helps to power the consumer spending gains we are seeing. Clearly, household spending is resilient and a contributor to third-quarter GDP growth, however, uncertainty over tariffs is creating anxiety and could fuel material changes in consumer spending."

Specifics include:
•    Online and other non-store sales were up 9.3 percent year-over-year and up .7 percent over August seasonally adjusted.
•    Clothing and clothing accessory stores were up 6.2 percent year-over-year but down 1.7 percent from August seasonally adjusted.
•    Health and personal care stores were up 5.4 percent year-over-year and up 0.5 percent from August seasonally adjusted.
•    Food and beverage stores were up 4.9 percent year-over-year and zero change from August seasonally adjusted.
•    General merchandise stores were up 4.6 percent year-over-year and up 0.1 percent from August seasonally adjusted.
•    Electronics and appliance stores were up 4.1 percent year-over-year and up 0.4 percent from August seasonally adjusted.
•    Furniture and home furnishings stores were up 3.9 percent year-over-year but down 0.3 percent from August seasonally adjusted.
•    Building materials and garden supply stores were up 2.6 percent year-over-year and zero change from August seasonally adjusted.
•    Sporting goods stores were down 4.0 percent year-over-year and up 0.2 percent from August seasonally adjusted.